Compare & Buy Car, Bike and Health Insurance Online - InsuranceDekho
Claim, renew, manage & moreLogin

Understanding Atal Pension Yojana

Published On Nov 04, 2021 10:00 AM By Shrida Gulati

Having a financial plan which helps an individual in saving money for a financially secured future. Atal Pension Scheme is one such way through which one can help an individual create a corpus for retirement. It is a government-backed pension scheme basically launched for the employees of unorganised sectors of India with a motive to help them create a corpus that can be used in future. This scheme was launched in 2015 for the unorganized sector such as household helpers, gardeners, delivery people etc. 

Eligibility Criteria for Atal Pension Yojana

Below mentioned is the eligibility criteria to invest in Atal Pension Yojana:

  • The investor should be an Indian citizen.
  • The investor can fall between the ages of 18 - 40 years.
  • The Atal Pension Yojana bank account should be interlinked with Aadhaar Card
  • 1 account is eligible for 1 person
  • The investor must have a savings account in a post office or bank. 

Facts to Help You Understand More About Atal Pension Yojana

Below mentioned are some facts that will help you understand more about Atal Pension Yojana:

  • Tax Exemptions: Biggest advantage of investing in Atal Pension Yojana is that an individual can avail tax exemptions while investing in this government backed scheme. One can avail tax exemption under Section 80CCD of the Income Tax Act. 
  • Contribution: Initially when the Atal Pension Scheme was launched, contribution options were limited to monthly basis contribution. Now the contribution options have been increased to semi annually and quarterly basis. You can contribute to the Atal Pension Yojana account according to your budget and choose the contribution option as per your convenience. 
  • Pension: Under this scheme a fixed amount shall be provided to the account holder from the age of 60. Guaranteed pension is provided under this scheme. In case the accumulated corpus is higher than the expected returns the access for minimum pension is provided to the account holder, in case the accumulated corpus is lower than the expected returns the the access then the minimum pension shall be provided as per central government guidelines.
  • Financial Assistance: In case of an unforeseen demise of the account holder before the age of 60, the spouse of the account holder gets the option to continue contribu in Atal Pension Yojana for the remaining period. In case of an unforeseen demise of the account holder and their spouse, the accumulated pension fund shall be provided to the nominee. 


Atal Pension Yojana is a good investment option provided by the government for the working people of the unorganized sector of India. This scheme was launched with the objective to provide financial protection to the people working in the unorganised sector of India. This scheme helps an individual to build a corpus for their retirement. 

Popularly Opted Term Insurance Sum Assured

People Also Read

Must BuyMust Buy

Why to Buy Life Insurance Policy Online from InsuranceDekho

  • Tax benefit upto 1,50,000*
  • Claim support everyday 10AM-7PM
  • 50 Lacs+ happy customers